XML 33 R23.htm IDEA: XBRL DOCUMENT v3.23.1
Loans Held for Investment and Allowance for Credit Losses on Loans (Tables)
 3 Months Ended
Mar. 31, 2023
Receivables [Abstract]  
Summary of Loans Held for Investment by Portfolio Segment

Loans held for investment are summarized by portfolio segment as follows:

 

March 31, 2023

 

 

December 31, 2022

 

 

(Dollars in thousands)

 

  Real estate:

 

 

 

 

 

    Commercial real estate owner occupied

 

920,104

 

 

 

908,494

 

    Commercial real estate non-owner occupied

 

1,396,400

 

 

 

1,383,150

 

    Construction and development < 60 months

 

534,847

 

 

 

475,236

 

    Construction residential real estate < 60 months

 

304,766

 

 

 

303,305

 

    Residential real estate first lien

 

1,147,800

 

 

 

1,117,899

 

    Residential real estate all other

 

206,402

 

 

 

196,198

 

    Agriculture

 

422,488

 

 

 

408,037

 

  Commercial non-real estate

 

1,262,737

 

 

 

1,241,454

 

  Consumer non-real estate

 

441,497

 

 

 

446,756

 

  Oil and gas

 

481,567

 

 

 

463,034

 

           Total (1)

$

7,118,608

 

 

$

6,943,563

 

(1) Excludes accrued interest receivable of $30.9 million at March 31, 2023 and $30.6 million at December 31, 2022, that is recorded in accrued interest receivable and other assets.

 

 

 
Summary of Modified Loans and Other Real Estate Owned and Repossessed Assets

The following is a summary of other real estate owned and repossessed assets:

 

 

 

 

 

 

 

 

 

March 31, 2023

 

 

December 31, 2022

 

 

 

(Dollars in thousands)

 

Other real estate owned and repossessed assets

 

$

38,874

 

 

$

36,936

 
Summary of Rental Income and Operating Expenses

This property had the following rental income and operating expenses for the periods presented.

 

 

 

For the Three Months Ended March 31,

 

 

 

2023

 

 

2022

 

 

 

(Dollars in thousands)

 

Rental income

 

$

2,690

 

 

$

2,670

 

Operating expense

 

 

2,381

 

 

 

2,439

 

 

 
Summary of Amounts Included in Nonaccrual Loans Segregated by Portfolio Segment

The following table is a summary of amounts included in nonaccrual loans, segregated by portfolio segment.

 

 

March 31, 2023

 

 

December 31, 2022

 

 

 

(Dollars in thousands)

 

  Real estate:

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

4,408

 

 

$

1,795

 

Commercial real estate non-owner occupied

 

 

707

 

 

 

667

 

Construction and development < 60 months

 

 

114

 

 

 

93

 

Construction residential real estate < 60 months

 

 

388

 

 

 

430

 

Residential real estate first lien

 

 

2,646

 

 

 

1,947

 

Residential real estate all other

 

 

748

 

 

 

55

 

Agriculture

 

 

2,688

 

 

 

2,734

 

  Commercial non-real estate

 

 

5,695

 

 

 

7,066

 

  Consumer non-real estate

 

 

255

 

 

 

192

 

  Oil and gas

 

 

—

 

 

 

320

 

Total

 

$

17,649

 

 

$

15,299

 

 
Age Analysis of Loans Held for Investments

Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. The following table presents an age analysis of the Company's loans held for investment:

 

 

Age Analysis of Past Due Loans

 

 

 

30-59
Days
Past Due

 

 

60-89
Days
Past Due

 

 

90 Days
and
Greater

 

 

Total
Past Due
Loans

 

 

Current
Loans

 

 

Total Loans

 

 

Accruing
Loans 90
Days or
More
Past Due

 

 

 

(Dollars in thousands)

 

As of March 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

3,454

 

 

$

41

 

 

$

7,051

 

 

$

10,546

 

 

$

909,558

 

 

$

920,104

 

 

$

4,358

 

Commercial real estate non-owner occupied

 

 

6,257

 

 

 

1,079

 

 

 

242

 

 

 

7,578

 

 

 

1,388,822

 

 

 

1,396,400

 

 

 

201

 

Construction and development < 60 months

 

 

1,206

 

 

 

783

 

 

 

217

 

 

 

2,206

 

 

 

532,641

 

 

 

534,847

 

 

 

103

 

Construction residential real estate < 60 months

 

 

1,175

 

 

 

—

 

 

 

824

 

 

 

1,999

 

 

 

302,767

 

 

 

304,766

 

 

 

824

 

Residential real estate first lien

 

 

4,505

 

 

 

996

 

 

 

1,452

 

 

 

6,953

 

 

 

1,140,847

 

 

 

1,147,800

 

 

 

690

 

Residential real estate all other

 

 

789

 

 

 

860

 

 

 

130

 

 

 

1,779

 

 

 

204,623

 

 

 

206,402

 

 

 

113

 

Agriculture

 

 

4,372

 

 

 

596

 

 

 

1,350

 

 

 

6,318

 

 

 

416,170

 

 

 

422,488

 

 

 

22

 

  Commercial non-real estate

 

 

2,709

 

 

 

2,264

 

 

 

3,802

 

 

 

8,775

 

 

 

1,253,962

 

 

 

1,262,737

 

 

 

415

 

  Consumer non-real estate

 

 

2,668

 

 

 

724

 

 

 

616

 

 

 

4,008

 

 

 

437,489

 

 

 

441,497

 

 

 

449

 

  Oil and gas

 

 

175

 

 

 

202

 

 

 

83

 

 

 

460

 

 

 

481,107

 

 

 

481,567

 

 

 

83

 

Total

 

$

27,310

 

 

$

7,545

 

 

$

15,767

 

 

$

50,622

 

 

$

7,067,986

 

 

$

7,118,608

 

 

$

7,258

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

1,314

 

 

$

1,524

 

 

$

4,580

 

 

$

7,418

 

 

$

901,076

 

 

$

908,494

 

 

$

4,580

 

Commercial real estate non-owner occupied

 

 

6,237

 

 

 

—

 

 

 

42

 

 

 

6,279

 

 

 

1,376,871

 

 

 

1,383,150

 

 

 

43

 

Construction and development < 60 months

 

 

535

 

 

 

40

 

 

 

114

 

 

 

689

 

 

 

474,547

 

 

 

475,236

 

 

 

81

 

Construction residential real estate < 60 months

 

 

1,320

 

 

 

282

 

 

 

148

 

 

 

1,750

 

 

 

301,555

 

 

 

303,305

 

 

 

—

 

Residential real estate first lien

 

 

3,415

 

 

 

1,076

 

 

 

844

 

 

 

5,335

 

 

 

1,112,564

 

 

 

1,117,899

 

 

 

349

 

Residential real estate all other

 

 

265

 

 

 

37

 

 

 

185

 

 

 

487

 

 

 

195,711

 

 

 

196,198

 

 

 

166

 

Agriculture

 

 

2,357

 

 

 

34

 

 

 

2,265

 

 

 

4,656

 

 

 

403,381

 

 

 

408,037

 

 

 

1,054

 

  Commercial non-real estate

 

 

2,490

 

 

 

2,142

 

 

 

2,772

 

 

 

7,404

 

 

 

1,234,050

 

 

 

1,241,454

 

 

 

345

 

  Consumer non-real estate

 

 

2,591

 

 

 

648

 

 

 

585

 

 

 

3,824

 

 

 

442,932

 

 

 

446,756

 

 

 

467

 

  Oil and gas

 

 

654

 

 

 

—

 

 

 

—

 

 

 

654

 

 

 

462,380

 

 

 

463,034

 

 

 

—

 

Total

 

$

21,178

 

 

$

5,783

 

 

$

11,535

 

 

$

38,496

 

 

$

6,905,067

 

 

$

6,943,563

 

 

$

7,085

 

 
Gross Loans Held for Investment by Year of Origination and Internally Assigned Credit Grades

The following table summarizes the Company’s gross loans held for investment by year of origination and internally assigned credit grades along with the gross charge-offs by year of origination:

 

 

 

 

Term Loans Amortized Cost Basis by Origination Year

 

 

Revolving Loans

 

 

 

 

(Dollars in thousands)

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Amortized Cost Basis

 

 

Total

 

As of March 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Commercial real estate owner occupied

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

26,840

 

 

$

171,896

 

 

$

136,273

 

 

$

98,471

 

 

$

87,267

 

 

$

158,659

 

 

$

50,504

 

 

$

729,910

 

Grade 2

 

 

15,333

 

 

 

37,268

 

 

 

33,356

 

 

 

25,810

 

 

 

20,013

 

 

 

32,197

 

 

 

19,018

 

 

 

182,995

 

Grade 3

 

 

18

 

 

 

6

 

 

 

1,694

 

 

 

75

 

 

 

1,277

 

 

 

1,469

 

 

 

62

 

 

 

4,601

 

Grade 4

 

 

—

 

 

 

252

 

 

 

250

 

 

 

311

 

 

 

798

 

 

 

648

 

 

 

—

 

 

 

2,259

 

Grade 5

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

339

 

 

 

—

 

 

 

—

 

 

 

339

 

Total commercial real estate owner occupied

 

 

42,191

 

 

 

209,422

 

 

 

171,573

 

 

 

124,667

 

 

 

109,694

 

 

 

192,973

 

 

 

69,584

 

 

 

920,104

 

Current-period gross charge-offs

 

 

—

 

 

 

7

 

 

 

1

 

 

 

22

 

 

 

18

 

 

 

—

 

 

 

—

 

 

 

48

 

 Commercial real estate non-owner occupied

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

40,007

 

 

$

333,790

 

 

$

239,906

 

 

$

164,977

 

 

$

106,365

 

 

$

86,491

 

 

$

44,389

 

 

$

1,015,925

 

Grade 2

 

 

13,477

 

 

 

122,684

 

 

 

48,822

 

 

 

28,644

 

 

 

36,980

 

 

 

79,557

 

 

 

31,249

 

 

 

361,413

 

Grade 3

 

 

—

 

 

 

6,996

 

 

 

—

 

 

 

152

 

 

 

9,864

 

 

 

1,343

 

 

 

—

 

 

 

18,355

 

Grade 4

 

 

45

 

 

 

620

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

707

 

Total commercial real estate non-owner occupied

 

 

53,529

 

 

 

464,090

 

 

 

288,728

 

 

 

193,773

 

 

 

153,209

 

 

 

167,433

 

 

 

75,638

 

 

 

1,396,400

 

Current-period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3

 

 

 

—

 

 

 

3

 

 Construction and development < 60 months

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

44,459

 

 

$

152,820

 

 

$

80,373

 

 

$

39,720

 

 

$

5,063

 

 

$

6,975

 

 

$

51,743

 

 

$

381,153

 

Grade 2

 

 

3,757

 

 

 

50,735

 

 

 

16,826

 

 

 

7,203

 

 

 

14,085

 

 

 

2,372

 

 

 

54,929

 

 

 

149,907

 

Grade 3

 

 

2,525

 

 

 

886

 

 

 

—

 

 

 

99

 

 

 

—

 

 

 

7

 

 

 

156

 

 

 

3,673

 

Grade 4

 

 

—

 

 

 

81

 

 

 

—

 

 

 

33

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

114

 

Total construction and development < 60 months

 

 

50,741

 

 

 

204,522

 

 

 

97,199

 

 

 

47,055

 

 

 

19,148

 

 

 

9,354

 

 

 

106,828

 

 

 

534,847

 

Current-period gross charge-offs

 

 

—

 

 

 

2

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2

 

 Construction residential real estate < 60 months

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

59,006

 

 

$

156,832

 

 

$

4,707

 

 

$

258

 

 

$

13

 

 

$

39

 

 

$

35,474

 

 

$

256,329

 

Grade 2

 

 

8,841

 

 

 

35,304

 

 

 

43

 

 

 

46

 

 

 

—

 

 

 

394

 

 

 

2,156

 

 

 

46,784

 

Grade 3

 

 

—

 

 

 

1,265

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,265

 

Grade 4

 

 

388

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

388

 

Total construction residential real estate < 60 months

 

 

68,235

 

 

 

193,401

 

 

 

4,750

 

 

 

304

 

 

 

13

 

 

 

433

 

 

 

37,630

 

 

 

304,766

 

 Residential real estate first lien

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

77,619

 

 

$

281,309

 

 

$

197,623

 

 

$

135,722

 

 

$

82,252

 

 

$

180,597

 

 

$

5,693

 

 

$

960,815

 

Grade 2

 

 

8,715

 

 

 

43,684

 

 

 

35,764

 

 

 

25,194

 

 

 

13,434

 

 

 

46,291

 

 

 

—

 

 

 

173,082

 

Grade 3

 

 

428

 

 

 

1,910

 

 

 

1,254

 

 

 

905

 

 

 

1,587

 

 

 

3,937

 

 

 

—

 

 

 

10,021

 

Grade 4

 

 

66

 

 

 

110

 

 

 

1,155

 

 

 

369

 

 

 

245

 

 

 

1,937

 

 

 

—

 

 

 

3,882

 

Total residential real estate first lien

 

 

86,828

 

 

 

327,013

 

 

 

235,796

 

 

 

162,190

 

 

 

97,518

 

 

 

232,762

 

 

 

5,693

 

 

 

1,147,800

 

Current-period gross charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2

 

 

 

—

 

 

 

2

 

 Residential real estate all other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

8,382

 

 

$

30,718

 

 

$

9,868

 

 

$

9,884

 

 

$

5,061

 

 

$

14,304

 

 

$

41,871

 

 

$

120,088

 

Grade 2

 

 

987

 

 

 

5,712

 

 

 

2,002

 

 

 

1,729

 

 

 

1,500

 

 

 

3,624

 

 

 

66,883

 

 

 

82,437

 

Grade 3

 

 

172

 

 

 

224

 

 

 

139

 

 

 

48

 

 

 

122

 

 

 

1,113

 

 

 

1,242

 

 

 

3,060

 

Grade 4

 

 

—

 

 

 

—

 

 

 

—

 

 

 

27

 

 

 

—

 

 

 

18

 

 

 

772

 

 

 

817

 

Total residential real estate all other

 

 

9,541

 

 

 

36,654

 

 

 

12,009

 

 

 

11,688

 

 

 

6,683

 

 

 

19,059

 

 

 

110,768

 

 

 

206,402

 

Current-period gross charge-offs

 

 

—

 

 

 

2

 

 

 

19

 

 

 

—

 

 

 

1

 

 

 

4

 

 

 

—

 

 

 

26

 

 Agriculture

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

16,685

 

 

$

69,811

 

 

$

42,014

 

 

$

34,467

 

 

$

20,604

 

 

$

39,693

 

 

$

49,791

 

 

$

273,065

 

Grade 2

 

 

10,701

 

 

 

24,320

 

 

 

21,468

 

 

 

9,205

 

 

 

10,223

 

 

 

19,584

 

 

 

32,697

 

 

 

128,198

 

Grade 3

 

 

592

 

 

 

6,337

 

 

 

977

 

 

 

3,356

 

 

 

112

 

 

 

3,290

 

 

 

4,896

 

 

 

19,560

 

Grade 4

 

 

59

 

 

 

646

 

 

 

98

 

 

 

477

 

 

 

50

 

 

 

305

 

 

 

30

 

 

 

1,665

 

Total Agriculture

 

 

28,037

 

 

 

101,114

 

 

 

64,557

 

 

 

47,505

 

 

 

30,989

 

 

 

62,872

 

 

 

87,414

 

 

 

422,488

 

Current-period gross charge-offs

 

 

—

 

 

 

4

 

 

 

—

 

 

 

16

 

 

 

13

 

 

 

2

 

 

 

—

 

 

 

35

 

 Commercial non-real estate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

108,823

 

 

$

212,982

 

 

$

189,496

 

 

$

58,782

 

 

$

45,803

 

 

$

47,346

 

 

$

305,503

 

 

$

968,735

 

Grade 2

 

 

22,343

 

 

 

73,851

 

 

 

42,567

 

 

 

15,526

 

 

 

12,546

 

 

 

21,578

 

 

 

94,656

 

 

 

283,067

 

Grade 3

 

 

952

 

 

 

2,000

 

 

 

392

 

 

 

308

 

 

 

675

 

 

 

1,773

 

 

 

2,035

 

 

 

8,135

 

Grade 4

 

 

20

 

 

 

308

 

 

 

351

 

 

 

741

 

 

 

608

 

 

 

305

 

 

 

203

 

 

 

2,536

 

Grade 5

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

264

 

 

 

—

 

 

 

—

 

 

 

264

 

Total commercial non-real estate

 

 

132,138

 

 

 

289,141

 

 

 

232,806

 

 

 

75,357

 

 

 

59,896

 

 

 

71,002

 

 

 

402,397

 

 

 

1,262,737

 

Current-period gross charge-offs

 

 

—

 

 

 

67

 

 

 

62

 

 

 

—

 

 

 

—

 

 

 

47

 

 

 

—

 

 

 

176

 

 Consumer non-real estate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

56,874

 

 

$

174,237

 

 

$

89,897

 

 

$

33,413

 

 

$

17,326

 

 

$

6,763

 

 

$

19,788

 

 

$

398,298

 

Grade 2

 

 

3,455

 

 

 

19,044

 

 

 

9,375

 

 

 

3,409

 

 

 

1,301

 

 

 

1,961

 

 

 

1,156

 

 

 

39,701

 

Grade 3

 

 

101

 

 

 

831

 

 

 

738

 

 

 

372

 

 

 

152

 

 

 

149

 

 

 

170

 

 

 

2,513

 

Grade 4

 

 

—

 

 

 

339

 

 

 

382

 

 

 

44

 

 

 

160

 

 

 

60

 

 

 

—

 

 

 

985

 

Total consumer non-real estate

 

 

60,430

 

 

 

194,451

 

 

 

100,392

 

 

 

37,238

 

 

 

18,939

 

 

 

8,933

 

 

 

21,114

 

 

 

441,497

 

Current-period gross charge-offs

 

 

—

 

 

 

76

 

 

 

32

 

 

 

15

 

 

 

9

 

 

 

6

 

 

 

2

 

 

 

140

 

 Oil and gas

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

81,777

 

 

$

21,451

 

 

$

110,461

 

 

$

12,661

 

 

$

3,861

 

 

$

2,469

 

 

$

167,211

 

 

$

399,891

 

Grade 2

 

 

1,080

 

 

 

5,968

 

 

 

3,504

 

 

 

729

 

 

 

21,421

 

 

 

15,971

 

 

 

29,233

 

 

 

77,906

 

Grade 3

 

 

—

 

 

 

2,080

 

 

 

247

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

1,439

 

 

 

3,770

 

Total oil and gas

 

 

82,857

 

 

 

29,499

 

 

 

114,212

 

 

 

13,394

 

 

 

25,282

 

 

 

18,440

 

 

 

197,883

 

 

 

481,567

 

Total loans held for investment

 

$

614,527

 

 

$

2,049,307

 

 

$

1,322,022

 

 

$

713,171

 

 

$

521,371

 

 

$

783,261

 

 

$

1,114,949

 

 

$

7,118,608

 

Total current-period gross charge-offs

 

$

—

 

 

$

158

 

 

$

114

 

 

$

53

 

 

$

41

 

 

$

64

 

 

$

2

 

 

$

432

 

 
Activity in Allowance for Credit Losses on Loans

The following table details activity in the allowance for credit losses on loans for the period presented. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

 

 

Allowance for Credit Losses

 

 

 

Balance at
beginning of
period

 

 

Charge-
offs

 

 

Recoveries

 

 

Net
charge-offs

 

 

Provision for /(benefit from) credit losses on loans

 

 

Balance at
end of
period

 

 

 

(Dollars in thousands)

 

Three Months Ended March 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

6,416

 

 

$

(48

)

 

$

49

 

 

$

1

 

 

$

130

 

 

$

6,547

 

Commercial real estate non-owner occupied

 

 

30,190

 

 

 

(3

)

 

 

—

 

 

 

(3

)

 

 

1,933

 

 

 

32,120

 

Construction and development < 60 months

 

 

3,778

 

 

 

(2

)

 

 

3

 

 

 

1

 

 

 

(171

)

 

 

3,608

 

Construction residential real estate < 60 months

 

 

3,275

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(49

)

 

 

3,226

 

Residential real estate first lien

 

 

4,092

 

 

 

(2

)

 

 

3

 

 

 

1

 

 

 

361

 

 

 

4,454

 

Residential real estate all other

 

 

1,418

 

 

 

(26

)

 

 

2

 

 

 

(24

)

 

 

50

 

 

 

1,444

 

Agriculture

 

 

6,217

 

 

 

(35

)

 

 

6

 

 

 

(29

)

 

 

80

 

 

 

6,268

 

  Commercial non-real estate

 

 

25,106

 

 

 

(176

)

 

 

22

 

 

 

(154

)

 

 

127

 

 

 

25,079

 

  Consumer non-real estate

 

 

4,132

 

 

 

(140

)

 

 

57

 

 

 

(83

)

 

 

183

 

 

 

4,232

 

  Oil and gas

 

 

8,104

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(322

)

 

 

7,782

 

Total

 

$

92,728

 

 

$

(432

)

 

$

142

 

 

$

(290

)

 

$

2,322

 

 

$

94,760

 

 

 

 

 

Allowance for Credit Losses

 

 

 

Balance at
beginning of
period

 

 

Initial allowance on loans purchased with credit deterioration

 

 

Charge-
offs

 

 

Recoveries

 

 

Net
charge-offs

 

 

Provision for /(benefit from) credit losses on loans

 

 

Balance at
end of
period

 

 

 

(Dollars in thousands)

 

Three Months Ended March 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

7,550

 

 

$

—

 

 

$

(16

)

 

$

48

 

 

$

32

 

 

$

680

 

 

$

8,262

 

Commercial real estate non-owner occupied

 

 

16,807

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(459

)

 

 

16,348

 

Construction and development < 60 months

 

 

3,454

 

 

 

—

 

 

 

—

 

 

 

3

 

 

 

3

 

 

 

(185

)

 

 

3,272

 

Construction residential real estate < 60 months

 

 

1,051

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

52

 

 

 

1,103

 

Residential real estate first lien

 

 

3,048

 

 

 

2

 

 

 

(44

)

 

 

7

 

 

 

(37

)

 

 

381

 

 

 

3,394

 

Residential real estate all other

 

 

1,567

 

 

 

—

 

 

 

—

 

 

 

402

 

 

 

402

 

 

 

(409

)

 

 

1,560

 

Agriculture

 

 

8,392

 

 

 

—

 

 

 

(125

)

 

 

3

 

 

 

(122

)

 

 

(252

)

 

 

8,018

 

  Commercial non-real estate

 

 

25,565

 

 

 

48

 

 

 

(57

)

 

 

110

 

 

 

53

 

 

 

(503

)

 

 

25,163

 

  Consumer non-real estate

 

 

3,694

 

 

 

28

 

 

 

(80

)

 

 

38

 

 

 

(42

)

 

 

50

 

 

 

3,730

 

  Oil and gas

 

 

12,808

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,581

 

 

 

16,389

 

Total

 

$

83,936

 

 

$

78

 

 

$

(322

)

 

$

611

 

 

$

289

 

 

$

2,936

 

 

$

87,239

 

Purchased Credit Deteriorated Loans

The Company has purchased loans, for which there was, at acquisition, evidence of more than insignificant deterioration of credit quality since origination. The Company did not purchase credit-deteriorated loans during the three month period ended March 31, 2023. The credit-deteriorated loans purchased during the three months ended March 31, 2022 were as follows:

 

 

 

Loans acquired
with deteriorated
credit quality

 

 

 

(Dollars in thousands)

 

For the period ended March 31, 2022

 

 

 

Purchase price of loans at acquisition

 

$

661

 

Allowance for credit losses at acquisition

 

 

78

 

Par value of acquired loans at acquisition

 

$

739

 
Collateral-Dependent Gross Loans Held for Investment by Collateral Type and Related Specific Allocation The following table summarizes collateral-dependent gross loans held for investment by collateral type and the related specific allocation as follows:

 

 

Collateral Type

 

 

 

 

 

 

 

 

 

Real Estate

 

 

Business Assets

 

 

Energy Reserves

 

 

Other Assets

 

 

Total

 

 

Specific Allocation

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

As of March 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

2,154

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

2,154

 

 

$

863

 

Commercial real estate non-owner occupied

 

 

1,248

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,248

 

 

 

333

 

Construction and development < 60 months

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Construction residential real estate < 60 months

 

 

388

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

388

 

 

 

45

 

Residential real estate first lien

 

 

387

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

387

 

 

 

118

 

Residential real estate all other

 

 

8

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

8

 

 

 

9

 

Agriculture

 

 

3,439

 

 

 

689

 

 

 

—

 

 

 

3,447

 

 

 

7,575

 

 

 

3,027

 

  Commercial non-real estate

 

 

—

 

 

 

5,190

 

 

 

—

 

 

 

—

 

 

 

5,190

 

 

 

1,823

 

  Consumer non-real estate

 

 

—

 

 

 

—

 

 

 

—

 

 

 

183

 

 

 

183

 

 

 

95

 

  Oil and gas

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total collateral-dependent loans held for investment

 

$

7,624

 

 

$

5,879

 

 

$

—

 

 

$

3,630

 

 

$

17,133

 

 

$

6,313

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Collateral Type

 

 

 

 

 

 

 

 

 

Real Estate

 

 

Business Assets

 

 

Energy Reserves

 

 

Other Assets

 

 

Total

 

 

Specific Allocation

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

As of December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate owner occupied

 

$

2,213

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

2,213

 

 

$

870

 

Commercial real estate non-owner occupied

 

 

1,263

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,263

 

 

 

333

 

Construction and development < 60 months

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Construction residential real estate < 60 months

 

 

420

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

420

 

 

 

45

 

Residential real estate first lien

 

 

481

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

481

 

 

 

207

 

Residential real estate all other

 

 

9

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9

 

 

 

9

 

Agriculture

 

 

3,447

 

 

 

701

 

 

 

—

 

 

 

3,592

 

 

 

7,740

 

 

 

3,114

 

  Commercial non-real estate

 

 

—

 

 

 

5,924

 

 

 

—

 

 

 

4

 

 

 

5,928

 

 

 

1,938

 

  Consumer non-real estate

 

 

—

 

 

 

—

 

 

 

—

 

 

 

117

 

 

 

117

 

 

 

81

 

  Oil and gas

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total collateral-dependent loans held for investment

 

$

7,833

 

 

$

6,625

 

 

$

—

 

 

$

3,713

 

 

$

18,171

 

 

$

6,597

 

 
Transfers from Loans and Premises and Equipment to Other Real Estate Owned and Repossessed Assets

Transfers from loans and premises and equipment to other real estate owned and repossessed assets during the periods presented are summarized as follows:

 

 

 

Three Months Ended March 31,

 

 

 

2023

 

 

2022

 

 

 

(Dollars in thousands)

 

Other real estate owned

 

$

565

 

 

$

2,153

 

Repossessed assets

 

 

395

 

 

 

277

 

Total

 

$

960

 

 

$

2,430